Mele Consulting
Independent actuarial consulting and third-party administration
Current year and prior year dollar limits, side by side. All amounts are annual limits under the Internal Revenue Code, effective January 1 of the year shown.
| Limit | 2026 | 2025 |
|---|---|---|
| Defined benefit plans | ||
| Maximum annual benefit — §415(b)(1)(A) | $290,000 | $280,000 |
| Defined contribution plans | ||
| Maximum annual additions — §415(c)(1)(A) | $72,000 | $70,000 |
| Elective deferrals | ||
| 401(k), 403(b) and governmental 457(b) plans — §402(g) | $24,500 | $23,500 |
| 457(b) plans — §457(e)(15) | $24,500 | $23,500 |
| SIMPLE IRA and SIMPLE 401(k) plans — §408(p) | $17,000 | $16,500 |
| Catch-up contributions | ||
| Age 50 and older — 401(k), 403(b), 457(b) | $8,000 | $7,500 |
| Ages 60–63 — 401(k), 403(b), 457(b) (SECURE 2.0) | $11,250 | $11,250 |
| 403(b) 15-years-of-service catch-up, maximum total deferral | $27,500 | $26,500 |
| SIMPLE plans, age 50 and older | $4,000 | $3,500 |
| SIMPLE plans, ages 60–63 (SECURE 2.0) | $5,250 | $5,250 |
| IRA, age 50 and older | $1,100 | $1,000 |
| Individual retirement arrangements | ||
| IRA contribution limit | $7,500 | $7,000 |
| Compensation and testing thresholds | ||
| Annual compensation limit — §401(a)(17) | $360,000 | $350,000 |
| Annual compensation limit, certain governmental plans (pre–July 1, 1993) | $535,000 | $520,000 |
| Highly compensated employee threshold — §414(q) * | $160,000 | $160,000 |
| Key employee (officer) threshold, top-heavy plans — §416(i) | $235,000 | $230,000 |
| SEP minimum compensation for coverage | $800 | $750 |
| Roth catch-up wage threshold (prior-year FICA wages) † | $150,000 | $145,000 |
| Social Security | ||
| Taxable wage base | $184,500 | $176,100 |